Defense contractor RTX said on Tuesday that its operating profit may take a $850 million hit this year due to the Trump tariffs, one of the first warnings about how the president’s approach to global trade could challenge U.S. weapons manufacturers.
In a presentation for investors as part of its Q1 earnings report on Tuesday, RTX forecast that the combined tariffs on goods from Canada and Mexico could cost the company around $250 million in operating profit, and that duties on China imports would cost the same. Global reciprocal tariffs may lead to a $300 million hit in operating profit, and steel and aluminum tariffs could lead to a $50 million hit, the company said.
